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Public cloud segment leaders projected to secure another 10% of market share by 2023

TBR estimates total public cloud market size was $165 billion in 2018. Microsoft (Nasdaq: MSFT) led the overall public cloud market, while Amazon Web Services (AWS) (Nasdaq: AMZN) maintained a strong lead on the IaaS segment and Salesforce (NYSE: CRM) delivered enough growth to sustain a top-three position in both SaaS and PaaS market share. Microsoft and AWS are expected to jointly compose nearly 40% of the public cloud market over the next five years, while Adobe (Nasdaq: ADBE) and IBM (NYSE: IBM) — fourth and fifth, respectively, in total public cloud revenue in 2018 — will fall out of the top five by 2023 due to adoption headwinds and an inability to convert established enterprise relationships into revenue growth while Alibaba (NYSE: BABA) and Google (Nasdaq: GOOG) take share.

Trend to watch

An increase in multicloud environments will position some vendors to take segment leaders’ market share.

“In the SaaS market, Microsoft Adobe and SAP have joined forces under the Open Data Initiative to challenge Salesforce’s single vendor suite,” TBR Senior Analyst Meaghan McGrath said. “Meanwhile, Alibaba and Google will embrace their role, providing additional PaaS and IaaS services to enterprises that made early investments in AWS or Microsoft.”

Public cloud remains the largest, fastest-growing segment of the cloud market. TBR’s Public Cloud Market Forecast analyzes the SaaS, PaaS and IaaS performances of leading vendors and details how hybrid deployments, new use cases for enterprise apps, and trends in emerging technology will make public cloud even more relevant in the future.

TBR Weekly Preview: March 4-8

As we start winding down beginning-of-the-year earnings calls, here’s what you can expect from the TBR team this week:

Tuesday:

  • In 3Q18 TBR noted Salesforce built on its industry-specific strategies by releasing Financial Services Cloud for retail banking and by expanding its target audience for Education Cloud. Salesforce’s ongoing innovation to address vertical use cases and ability to understand customers’ business needs enabled the vendor to execute multiproduct deals in 4Q18. TBR expects Salesforce will close 4Q18 with $12.2 billion in annual revenue, keeping the vendor on track to attain its $21 billion to $23 billion annual revenue goal in 2021. (See Jack McElwee for more analysis.)
  • Google Cloud’s hiring of Thomas Kurian as CEO (replacing Diane Greene) is meant to attract enterprise customers and facilitate stronger competition at scale with Amazon Web Services and Microsoft; Kurian, former Oracle president of Product Development, brings deep understanding and detailed messaging on the technical and business impacts of cloud. TBR’s 4Q18 report will detail Google Cloud’s continued innovation among its core AI and ML portfolios while partnering and leveraging Kurian’s clout to gain enterprise mindshare, which will be increasingly critical to long-term success. (For everything Google and cloud, see Cassandra Mooshian.)

Thursday:

  • Cisco continues to grow revenue as it transforms itself through acquisitions, divestments and new product releases that enable the company to reduce its reliance on hardware — a commoditizing market — and embrace software. TBR’s 4Q18 Cisco report will include deep dives on Cisco’s most recent acquisitions, including Luxtera, which will help Cisco attract more webscale spend and improve the performance of its proprietary-based solutions, as well as Ensoft and Singularity Networks, which will broaden Cisco’s software capabilities in the service provider space. (Mike Soper leads TBR’s analysis on Cisco.)
  • TBR will also report on Cisco Services and the company’s expansion around software and next-generation solutions, which has created advisory and implementation opportunities that enabled Cisco Services to accelerate growth in 2018. An increase in software-related services as well as adoption of next-generation secure and intelligent platforms and products that support clients’ digital business will create attached services opportunities for Cisco Services, driving revenue expansion throughout 2019. (For more on Cisco Services, see Kelly Lesiczka.)
  • TBR’s latest report on Perspecta will provide an update on how the fledgling company is managing the task of integrating three legacy organizations into a unified whole. In past reports, we have talked about how the company’s innovation incubator, Perspecta Labs, underpins its long-term position in the federal services landscape. Our 4Q18 Perspecta report will dive more deeply into how the company introduces Perspecta Labs to its biggest client, the U.S. Navy, in advance of the recompete of Perspecta’s largest contract, which entails managing the Navy Next Generation Enterprise Network. (Joey Cresta heads up TBR’s Public Sector practice.)
  • As reported in our initial response, NetApp earned $1.6 billion in revenue in 4Q18, representing a 1.6% year-to-year increase. Strong 1H18 revenue momentum enabled the vendor to achieve solid year-to-year revenue growth for 2018, demonstrating the success of some of NetApp’s strategic moves during the year. Our full report will dive into the 2018 establishment of a cloud infrastructure business unit that will enable NetApp to pivot its portfolio further in 2019, as the company, one of the few major pure play storage vendors left in the market, transforms itself to establish its brand as one that enables customers’ digital transformations. (See Stephanie Long for more analysis.)

Friday:

  • Utilizing its technology expertise and ability to address clients’ business challenges, Capgemini reached its 2018 revenue growth and profitability goals and is confidently moving into 2019. Capgemini’s bookings reached their highest level since 1Q17 in 4Q18. In the latest full report, TBR will note how the increase in bookings, combined with Capgemini’s unified go-to-market approach; enhanced offerings around digital, cloud and industry-specific solutions; and reinforced expertise via training and reskilling, will enable the company to sustain revenue growth. (Elitsa Bakalova covers Capgemini for TBR.)

Be on the lookout for additional analysis from TBR, including assessments of Accenture Technology and TELUS International. TBR’s next webinar will be held March 20 and feature Senior Analyst John Caucis talking about healthcare IT services.

The Big Six, the 150, and the future of Accenture’s alliances

Like nearly every IT services vendor TBR covers, Accenture professes to follow a technology-vendor-agnostic approach to making client recommendations, but we have noticed how the company — in addition to managing over 150 tech vendor partnerships — forms strategic business groups with core partners, such as SAP, Oracle, Amazon Web Services (AWS), Cisco, Pivotal and Google, not to mention the joint venture with Microsoft (Avanade). Given the initial structure of the Accenture-Apple partnership, we expect this may formalize as a Business Solutions Group as well. Augmenting its large partner ecosystem capabilities often requires Accenture to team up with regional firms (e.g., Sompo Japan Nipponkoa Insurance and Daiichi Kotsu Sangyo) to demonstrate how Accenture partners at the local level to gather insights and test technologies in specific industries. The alliance strategy makes sense for such a large firm with a diverse set of offerings and capabilities, but in today’s market, which is flooded with emerging technologies, we have to ask what market and competitor changes will alter Accenture’s strategy.

What’s changing?

As the market evolves, Accenture’s do digital, be digital approach has impacted the way the company forges and manages its alliance relationships. The influx of startups presents a great opportunity for Accenture to expand its reach into new areas such as artificial intelligence (AI), blockchain and the rest of the alphabet of new technologies. Part of the Accenture Innovation Architecture, Accenture Ventures has played a critical role in this evolution as it has taken Accenture’s alliance strategy to the next level, creating a bridge between acquisitions and strategic partnerships mainly through minority investments in vendors such as Ripjar. The additional commitment and risk sharing demonstrated through minority investments is a step in the right direction as new buyers can be skeptical when nontraditional vendors pitch new capabilities. But Accenture is an almost $40 billion organization with a predominant focus on Global 2000 clients, leading the company to heavily rely on its Big Six partners — SAP, Oracle, Microsoft, AWS, Salesforce, Google, plus the emergence of Workday on Accenture’s radar. TBR notes that recently Accenture’s leadership has recognized the importance of these partners, as platform-based services enabled by the soon-to-be Big Seven by these Big Seven are now generating over 25% of Accenture’s sales. So, is anything really changing? At the macro level, maybe not, but the “as a Service” economy has enabled Accenture to pursue opportunities within the midsegment market, which in our view is an even bigger strategic shift than bringing in Accenture Ventures. This move into the midsegment market creates opportunities for the small technology players to play in the same sandbox as the 800-pound gorilla.

With Accenture augmenting its strategy, how do the small guys get Accenture’s attention? TBR asks this $100 million question of the startups, but more importantly of Accenture too. Many rival IT service vendors have ramped up similar strategies and will now drop prices to meet clients’ demands for nimble, off-the-shelf solutions that may not require premium consulting expertise as much as strong back-end support (hello, India-centric vendors). So is Accenture ready for the next chapter of its alliance strategy? Possibly. Will data interoperability reduce the need for multiple large platforms and be the panacea for the small tech guys to fill in the blanks? Can Agile methodologies infect Accenture’s alliance strategy? Maybe. With Accenture, let’s recall that it’s all about process. To paraphrase the late Johnnie Cochran, if it doesn’t fit, you must quit. And if you’re one of 150, you’d better be better rather than good.

Customer preferences are forming around hybrid and shifting around open source as vendors focus on acquisitions

Prebuilt devices are a ray of clarity amid the fogginess of hybrid

Hybrid can be a difficult thing to define in cloud computing. The term “hybrid” is overused by vendors but underused by customers, causing general confusion over its definition as well as solid examples of hybrid solutions. An area of the market that cuts through those areas of confusion is hybrid cloud integrated systems. These are physical devices (appliances) that are designed to integrate with public cloud services and can be used in customers’ own data centers. The idea that customers can physically touch the box and also integrate with external cloud services makes integrated systems one of the easiest and most obvious hybrid scenarios.

Examples of integrated systems solutions include Azure Stack from Microsoft and its hardware partners and Cloud at Customer from Oracle. While adoption and usage of these hybrid cloud solutions remain limited, the trend is picking up momentum and is prompting vendors such as Amazon and Google to move closer to competing in the space, particularly as customer demand from heavily regulated industries favors local versions of vendor-hosted cloud infrastructure. For example, Amazon Web Services (AWS) and Microsoft are the two front-runners in the race to win the U.S. Department of Defense’s Joint Enterprise Defense Infrastructure (JEDI) contract. While AWS has largely been seen as the overall favorite, its Snowball Edge offering does not meet the same bidirectional synchronization requirement of the tactical edge device that Azure Stack does.

Kubernetes season is in full swing as OpenStack falters

For large enterprise customers, open-source technologies have garnered much interest as part of their cloud strategies. The ability to utilize solutions that provide the same backbone as large cloud providers while maintaining the control associated with open source has been an attractive value proposition for those with the resources to implement and manage them. However, predicting which technologies will be the most commonly adopted has been more challenging, creating uncertainty around frameworks such as OpenStack, which has yet to garner significant momentum in the market.

Compounding the hurdles for OpenStack to overcome continues to be the ongoing explosion in growth among public cloud IaaS front-runners AWS, Google, Microsoft and Alibaba. OpenStack founders and former OpenStack pure plays are making notable shifts toward Kubernetes. The difference, though, is that Canonical and Red Hat are still holding onto OpenStack, while others, such as Rackspace, Hewlett Packard Enterprise, IBM and Mirantis, de-emphasize it.

Customers increasingly understand the benefits of containers and container orchestration platforms and embrace the portability and interoperability they provide. According to a recent interview done as part of TBR’s Cloud Customer Research Program, a retail SVP, CIO and CTO said, “You need to make sure there are escape clauses in your contracts in case you need to get out. Once you’re in it, you’re pretty much married, and that divorce is really bad. That’s the reason we have a container. … Because if it starts to get too expensive, we want to pull it off quickly.”

This is just one example of the immediate enterprise benefits of container and container orchestration platforms, which can change the game for enterprises in terms of their cloud adoption road maps and long-term cloud plans.

Hybridization is becoming even more widespread than customers realize

While pre-integrated devices are the most obvious examples of hybrid usage, the vast majority of activity is occurring in more subtle situations. This activity is driven by the desire among vendors to sell broader solutions and the desire among customers to implement services that integrate with existing and other new technologies. The good news for both sides of the market is that there are more capabilities than ever to put those more cohesive, integrated solutions in place.

Salesforce, whose solutions are commonly integrated into hybrid environments, has taken a notable step into the hybrid enablement space by acquiring MuleSoft. The acquisition, which closed on May 1 at the start of Salesforce’s FY2Q19, brings MuleSoft’s well-known integration Platform as a Service (iPaaS) solution and services into Salesforce’s arsenal. The implications for Salesforce, its customers and the market are vast, as the company can create connections between its applications and the variety of other cloud and legacy systems residing in customers’ environments. Salesforce quickly leveraged the iPaaS technology, bringing Salesforce Integration Cloud to market within the first few months of having MuleSoft on board, enabling customers to augment their Salesforce applications and derive greater insights from their non-Salesforce data.

SaaS sweetens the cloud pot but requires vendors to up their ante to participate

‘Best of breed’ spawns diversity in the SaaS provider landscape

The vendor landscape may be consolidating on the IaaS side of the cloud market, but that is not the case for SaaS. Customers are most likely to increase the number of SaaS vendors utilized over the next two years, supported by a number of market trends, including new workload and feature adoption, platform ecosystems, and integrated multicloud deployments.

For workload adoption, there is a leveling of the playing field for which services customers are considering cloud as a deployment method. ERP, for example, used to lag in public cloud adoption but is now much closer to par with often adopted services like CRM and HR. Much of this increased consideration comes from enhanced comfort on behalf of customers for delivering sensitive workloads from cloud providers versus their on-premises data centers.

The other factor is the proliferation of complementary services available via PaaS ecosystems. The most tenured and largest example of this comes from the Salesforce Platform, which supports thousands of ISVs developing and selling solutions that complement and extend core CRM. Salesforce may have been the first, but other SaaS vendors, including SAP, Workday, Microsoft and ServiceNow, are taking the same approach, exponentially growing available SaaS services. The last driver is the continued rise of best-of-breed customer purchasing. For contracting and performance reasons, customers have long yearned for multivendor application environments, and now vendors are actually moving to accommodate that desire. Salesforce’s acquisition of MuleSoft and SAP’s introduction of the Intelligent Enterprise vision are the latest examples of how vendors are supporting customers in choosing and integrating solutions from numerous providers.

 

This special report is part of a series driven by TBR’s Cloud Customer Research reports, for which TBR conducted more than 50 interviews and 200 surveys. These special reports will highlight key trends and topics impacting the cloud industry.

SaaS sweetens the cloud pot but requires vendors to up their ante to participate

Despite the simple graph in Figure 1 depicting SaaS market size, the space remains difficult to sum up. In the eyes of customers, SaaS options are proliferating and spanning a wide swath of business functions and stakeholders. Yes, SaaS is the largest segment of the “as a Service” cloud market—and yes, it will continue to expand. Beyond that, however, SaaS will remain a collection of separate markets, with most vendors specializing in one or two core and adjacent areas, instead of one unified opportunity. Some examples of this fragmented and overlapping landscape include Microsoft leveraging collaboration dominance to reinvigorate its CRM strategy with cloud delivers, SAP returning its focus to SaaS CRM after ceding the market to Salesforce, and Workday investing to build out a financials-focused SaaS business from its HR roots.

The market behaves in contrast to the IaaS market, which is highly consolidated around a standard set of often interconnected services and a small collection of vendors. In the SaaS market, growth will be achieved by new vendors addressing new workloads and features. From a vendor standpoint, there will be greater presence from legacy application providers such as SAP, Oracle and Microsoft, but also plenty of room for more niche providers as functional and regional niches develop.

While SaaS will grow the overall cloud opportunity, the challenge for vendors is that the SaaS opportunity will be more difficult to capture. That is not to say the historical model for SaaS adoption will cease to exist; there will still be SaaS purchases that are driven by lines of business (LOBs), transacted with a credit card in some cases, and deployed separately from legacy systems. At least some of the growth will continue to occur in that shadow IT model. However, much of the growth will be from SaaS solutions that deliver more critical services, are procured by joint IT and LOB teams, and are tightly integrated with legacy systems. These scenarios will require vendors both large and small to up their ante, bringing more sales, integration and support services to the table to win these more complex deals.

Figure 1

Graph depicting SaaS market size by delivery method from 2017 to 2022

‘Best of breed’ spawns diversity in the SaaS provider landscape

The vendor landscape may be consolidating on the IaaS side of the cloud market, but that is not the case for SaaS. As seen in Figure 2, customers are most likely to increase the number of SaaS vendors utilized over the next two years, supported by a number of market trends, including new workload and feature adoption, platform ecosystems, and integrated multicloud deployments.

For workload adoption, there is a leveling of the playing field for which services customers are considering cloud as a deployment method. ERP, for example, used to lag in public cloud adoption but is now much closer to par with often adopted services like CRM and HR. Much of this increased consideration comes from enhanced comfort on behalf of customers for delivering sensitive workloads from cloud providers versus their on-premises data centers.

The other factor is the proliferation of complementary services available via PaaS ecosystems. The most tenured and largest example of this comes from the Salesforce Platform, which supports thousands of ISVs developing and selling solutions that complement and extend core CRM. Salesforce may have been the first, but other SaaS vendors, including SAP, Workday, Microsoft and ServiceNow, are taking the same approach, exponentially growing available SaaS services. The last driver is the continued rise of best-of-breed customer purchasing. For contracting and performance reasons, customers have long yearned for multivendor application environments, and now vendors are actually moving to accommodate that desire. Salesforce’s acquisition of MuleSoft and SAP’s introduction of the Intelligent Enterprise vision are the latest examples of how vendors are supporting customers in choosing and integrating solutions from numerous providers.

Figure 2

Graph depicting the change in the number of cloud vendors utilized in the next two years

Expectation inflation raises the bar for SaaS providers

There may be a growing pool of revenue and room for more providers, but meeting customer expectations for SaaS solutions is anything but easy. Expectations have been on the rise, stoked by the greater control buyers have with cloud solutions versus on-premises software. The days of long-term software contract risk falling entirely on the customer are quickly coming to an end. Not only has the power dynamic shifted, but, as shown in the graph below, customers are successfully using more of their IT dollars to fund innovation over maintenance of existing systems. As a result, different evaluation criteria are being used for IT investments. Up front, there is a much more collaborative process between IT and LOB teams as they decide which offerings meet their underlying business need, not just what fits into their existing footprint. Calculating the benefits and return from SaaS investments is also a challenging task, as deployments use business outcomes as the ultimate goal. Although hard calculations seem challenging for most customers, it’s clear that enhanced levels of support and “customer success” roles are increasingly valued. Having these post-sale resources available and putting a greater focus on outcomes and other intangible benefits than on technology benefits seems to be the best way for SaaS vendors to meet inflated customer expectations for what the solutions can and should do for their business.

Figure 3

Graph depicting IT investment strategy of SaaS adopters three years ago versus now versus three years from now

Hybrid, multicloud, reunited partners featured in TBR’s upcoming cloud & software research

Going into the second half of 2018, TBR’s Cloud and Software Practice anticipates providing additional research around a few issues that have been top of mind among TBR’s clients and our analysts. The common theme across the three issues highlighted in this report is the growing focus on how cloud and software are jointly being used to deliver real solutions for customers. Highlights of the research center on how establishing hybrid capabilities is a primary challenge for enterprises and a growth driver for vendors, from the initial design and integration through to the ongoing management and optimization of the increasingly complex environments. Additionally, offering multicloud is the first priority for customers and creates opportunities for vendors other than category leaders such as Amazon Web Services (AWS) and Salesforce. Lastly, partnerships that were previously threatened by cloud are now realigning for new opportunities created by on-premises hybrid delivery and solution bundling. Look for more insight into these topics in our upcoming research.

Hybrid enablement is an increasingly critical predictor of vendor success
There is no question that cloud and software solutions are being increasingly deployed into hybrid environments and have been for some time now. The real customer pain point in regard to a truly hybrid environment — one or more cloud assets integrated with one or more on-premises assets for the seamless flow and sharing of data — is around enabling each of the solutions to fit into the environment and integrate with the others for optimal utilization.

Cloud and software vendors alike are investing to capitalize on this growing opportunity around empowering enterprise IT departments to integrate sprawling environments on their own, with the help of automated tools and platforms. Salesforce’s acquisition of MuleSoft is one of the more noteworthy examples as it has vast implications for both Salesforce and the market. This is because MuleSoft offers licenses alongside its subscription offerings despite Salesforce’s “No software” mantra, and because many organizations utilize one or more of Salesforce’s cloud offerings, which will soon feature and/or be integrated with Salesforce Integration Cloud, a solution that will be based on MuleSoft’s well-known Integration Platform as a Service (iPaaS).

Software vendors are making similar investments, such as Red Hat announcing its own iPaaS — Fuse Online — and VMware’s continued updates to the vRealize cloud management suite. Additionally, many continue to expand their partnerships with cloud vendors and systems integrators to improve their hybrid technology and hybrid enablement portfolios, increasingly going to market with a software-led services approach.
Cloud brokerage and hybrid integration pure plays continue to generate buzz as well, providing attractive solutions for enterprise IT departments struggling to keep pace with integrations, orchestration and skill sets. We expect some of these vendors to be acquired over the next couple of years as cloud and software vendors look to quickly build out their hybrid integration and enablement tool sets.

Consolidation around leading PaaS & IaaS vendors does not reduce competition
The public cloud IaaS market, substantially made up of businesses that complement scalable infrastructure with general purpose PaaS, has consolidated around the four leading U.S.-based cloud vendors — AWS, Microsoft, IBM and Google — and one international vendor, Alibaba, which has been successful in the highly exclusive Chinese market and is diligently focused on effectively competing with these U.S.-based vendors on an international stage.

Among the insights gleaned from TBR’s upcoming Cloud Infrastructure & Platforms Customer Research, it is becoming evident that even in discrete use cases and niche industries, the general-purpose nature of these vendors has enabled them to be considered across needs. Many customers agree that there is a delicate equilibrium yet to be found in first balancing on-premises and cloud deployments, and then balancing vendor lock-in concerns, usage volume discounts, vendor specializations and multivendor environment complexity. TBR will closely watch and assess how each vendor overcomes its perceived downfalls and positions itself to help customers best weigh the benefits and drawbacks of increasing cloud adoption.

In particular, customers almost universally recognize Google Cloud as the third option behind AWS and Microsoft Azure, citing TensorFlow as a key technology that will drive Google’s growth into a more prominent cloud vendor, but in the same breath identify that Google’s enterprise vision has not matured from “talk the talk,” particularly outside of the executive office of Google Cloud CEO Diane Greene. Meanwhile, Azure has become a viable alternative to AWS for many customers that note general ubiquity in each vendor’s ability to support various enterprise needs. TBR expects the closeness in AWS and Azure functionality, strained by the maturation of Google’s enterprise vision and Alibaba’s increasingly competitive entry into Western markets, will cause the converging market to grow quickly around this competition.

Partnerships are being both stressed and created as the cloud market evolves
The increased focus on cloud delivery methods has certainly stressed many long-held partnerships between traditional hardware, software and service vendors. The model of solution creation, distribution, installation and support was one that had multiple participants in the traditional model but became more focused on the cloud provider in the transition to cloud. Cloud is also an opportunity for new or nascent vendors to take share in markets such as business applications, where SAP and Oracle have been dominant. SaaS vendors fill portfolio gaps and augment vendor offerings for verticalized use cases, enabling legacy players such as Microsoft and SAP to adapt and compete with born-on-the-cloud providers. An example of this shift in vendor landscapes comes with the release of Dynamics 365 Business Central, which will help Microsoft gain footing over SAP in the SMB space for business applications and provide new opportunity for Microsoft’s SaaS partners. However, as each vendor expands its cloud portfolio, its respective ecosystem will be required to adapt. SAP’s acquisition of CallidusCloud will improve the vendor’s position in the cloud front-office space, but it also places SAP in direct competition with its ecosystem of Configure, Price, Quote (CPQ) providers. Now more than ever, the market will see vendor shares susceptible to ongoing changes as the market for core business applications remains relatively immature for cloud.

Hardware and services partners were previously hard hit in the transition to cloud but will have more opportunities with a growing mix of public and private cloud options becoming available. Microsoft will continue to leverage hardware and services partners to deliver and implement its hosted private cloud, Azure Stack, which has already doubled its geographical reach in recent months. This new opportunity for longstanding hardware partners such as Dell EMC and Hewlett Packard Enterprise to collaborate in delivering Microsoft’s Azure Stack offering does little to offset the erosion those vendors have seen as Microsoft built out its own Azure public cloud offerings, reducing customer demand for hardware.

Note: TBR provides extensive, sustained coverage of the strategies and select performance metrics of all the vendors mentioned above, as well as their competitors and key technology partners. Contact the authors for additional details.

By Allan Krans, Practice Manager and Principal Analyst; Cassandra Mooshian, Senior Analyst; Meaghan McGrath, Senior Analyst; and Jack McElwee, Research Analyst

Defining a new hybrid landscape

TBR brings together analysis of hybrid-influenced and hybrid-enabling vendors and technologies, examining and defining the hybrid landscape

Many hybrid players legitimize their presence in hybrid engagements through partnerships with vendors in adjacent markets. Vendors with entrenched legacy assets are well-positioned to cross-sell integrated solutions that fuel hybrid-influenced revenue opportunity. — TBR’s 4Q17 Hybrid Benchmark